EBK PRODUCTION AND OPERATIONS ANALYSIS
EBK PRODUCTION AND OPERATIONS ANALYSIS
7th Edition
ISBN: 9781478628385
Author: Olsen
Publisher: WAVELAND PRESS (ECONTENT)
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Chapter 8.5, Problem 32P
Summary Introduction

Interpretation: The reason that the capacitated lot- sizing method is not used for solving the overall capacity problem is to be determined.

Concept Introduction: The operational feasibility can be defined as the measurement of the problem solving capacity of the proposed system and it also checks that in which manner this proposed system is satisfying the requirements which are identified in the requirement analysis phase during the system development.

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The Awesome Skis Company has manufacturing plants in Portland, Oregon and Toronto, Ontario. You have been given the job of coordinating distribution of the latest model, the Superslide, to outlets in Lake Tahoe and Whistler. The Portland plant, when operating at full capacity, can manufacture 620 pairs Superslide skis per week, while the Toronto plant, beset by labor disputes, can produce only 410 pair of skis per week. The outlet in Lake Tahoe orders at least 500 pairs Superslide skis per week, while Whistler orders at least 530 pairs of skis per week.   Transportation costs are as follows: Portland to Lake Tahoe: $10 per pair of skis;           Portland to Whistler: $5 per pair of skis. Toronto to Lake Tahoe: $20per pair of skis;             Toronto to Whistler: $10 per pair of skis.     (a) You want to ship as many skis as you can filling all the orders and yet, you want to minimize your costs. If so, how many skis should be shipped from each manufacturing plant to each…
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Given the following information set up the problem in a transportation table and solve for the minimum-cost plan: Demand Capacity Regular Overtime Subcontract Beginning inventory Costs Regular time Overtime Subcontract Inventory carrying cost Back-order cost PERIOD 1 2 3 550 700 750 500 500 500 50 50 50 120 120 100 100 $60 per unit $80 per unit $90 per unit $1 per unit per month. $3 per unit per month Answer is complete but not entirely correct. $ Minimum total cost 126,650
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